Ekennis Software Service (BOM:543475) ROIC %: -6.03% (As of Mar. 2026)

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BOM:543475 Ekennis Software Service Ltd BOM:543475
55 GF Score
Price ₹73.30
GF Value ₹48.12
Valuation Significantly Overvalued
! 6 Warning Signs
View Full Analysis

What is Ekennis Software Service ROIC %?

Ekennis Software Service BOM:543475 55 ROIC % is -6.03% as of Mar. 2026. GuruFocus rates BOM:543475 with a GF Score™ of 55/100 and a GF Value™ of ₹48.12 (Significantly Overvalued). The stock has 6 warning signs investors should review.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Ekennis Software Service's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was -6.03%.

As of today (2026-07-20), Ekennis Software Service's WACC % is 8.11%. Ekennis Software Service's ROIC % is -7.99% (calculated using TTM income statement data). Ekennis Software Service earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Ekennis Software Service  (BOM:543475) ROIC % Explanation

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.

There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.

Why is ROIC % important?

Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.

As of today, Ekennis Software Service's WACC % is 8.11%. Ekennis Software Service's ROIC % is -7.99% (calculated using TTM income statement data). Ekennis Software Service earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Be Aware

Like ROE % and ROA %, ROIC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.


Ekennis Software Service ROIC % Related Terms


Ekennis Software Service ROIC % Historical Data

* Premium members only.

The historical data trend for Ekennis Software Service's ROIC % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Ekennis Software Service ROIC % Chart

Ekennis Software Service Annual Data
Trend Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROIC %
Get a 7-Day Free Trial 79.70 27.42 -0.57 -24.83 -8.15

Ekennis Software Service Semi-Annual Data
Mar20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
ROIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only -18.00 -36.02 -7.42 -9.87 -6.03

BOM:543475 vs IBM, ACN, FISV: ROIC % Comparison

For the Information Technology Services subindustry, Ekennis Software Service's ROIC %, along with its competitors' market caps and ROIC % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Ekennis Software Service ROIC % vs Software Industry

For the Software industry and Technology sector, Ekennis Software Service's ROIC % distribution charts can be found below:

* The bar in red indicates where Ekennis Software Service's ROIC % falls into.


BOM:543475
55GF Score
Ekennis Software Service Ltd BOM:543475
ROIC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Ekennis Software Service ROIC % Calculation

Ekennis Software Service's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Mar. 2026 is calculated as:

ROIC % (A: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Mar. 2025 ) + Invested Capital (A: Mar. 2026 ))/ count )
=-6.7 * ( 1 - 0% )/( (79.099 + 85.31)/ 2 )
=-6.7/82.2045
=-8.15 %

where

Ekennis Software Service's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Mar. 2026 is calculated as:

ROIC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=-5.2 * ( 1 - 0% )/( (87.082 + 85.31)/ 2 )
=-5.2/86.196
=-6.03 %

where

Note: The Operating Income data used here is two times the semi-annual (Mar. 2026) data. The tax rate is limited to between 0% and 100%.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about ROIC % →
What does a ROIC % of -6.03% mean?
Ekennis Software Service (BOM:543475) has a ROIC % of -6.03% as of Mar. 2026. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Ekennis Software Service and its competitors.
Is Ekennis Software Service's ROIC % too high?
Ekennis Software Service's current ROIC % is -6.03%. Overall, Ekennis Software Service has a GF Score™ of 55/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ekennis Software Service's ROIC % compare to IBM and ACN?
Ekennis Software Service's ROIC % of -6.03% can be compared against companies in the Software industry. The industry median ROIC % is 3.13. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROIC % for a Software company?
The median ROIC % among Software companies is 3.13, based on 2,831 companies in the industry. Companies in the top quartile (top 25%) have a ROIC % significantly above this median, while those in the bottom quartile fall well below. However, ROIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROIC % mean?
A high ROIC % can signal that a stock is expensive relative to its fundamentals. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Ekennis Software Service and its competitors. For the Software industry, the median ROIC % is 3.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ekennis Software Service's current ROIC % is -6.03%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ekennis Software Service stock overvalued right now?
Based on GuruFocus' analysis, Ekennis Software Service (BOM:543475) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹48.12, compared to a current price of ₹73.30 — trading 52.3% above its estimated fair value. The current ROIC % is -6.03%. Ekennis Software Service's overall GF Score™ is 55/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROIC % calculated?
ROIC % is calculated from a company's financial statements. For Ekennis Software Service (BOM:543475), the current ROIC % is -6.03% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Ekennis Software Service (BOM:543475) Overvalued in 2026?

Based on GuruFocus' analysis, Ekennis Software Service stock appears to be overvalued. The current stock price of ₹73.30 is trading 52.3% above its estimated GF Value™ of ₹48.12. GuruFocus considers Ekennis Software Service to be Significantly Overvalued.

Key valuation signals for BOM:543475:

  • ROIC %: -6.03%
  • GF Value™: ₹48.12 vs. price of ₹73.30 (52.3% above fair value)
  • GF Score™: 55/100 with 6 warning signs

No single metric tells the full story. See the BOM:543475 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Ekennis Software Service Business Description

Address No.698, Chamundeshwari Layout, Opposite St.Xavier SchoolBettadasanapura Village, Electronic City Phase-1, Bangalore, IND, 560100
Ekennis Software Service Ltd operates in the Information technology and Printing Industry. The company is into delivering IT software training and consultancy services, alongside its printing, designing, and packaging business operated under the brand name MyPerfectPack. The company has two business segments Manpower Supply Services and Printing & Packaging. The company generates the majority of its revenue from Manpower Supply Services.
55GF Score

Get the complete analysis for BOM:543475

ROIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹73.30
Price
₹48.12
GF Value